Yup, but at the end of the day, most people will think that something exist given his impact on his daily life. When people go out and everyone accepts dollar and they can buy/sell anything for dollars, it's very real and it's very hard to argue with them how "bitcoins are more real" so to speak.
Agreed (well €), however under that criteria does Gold exist? It is unlikely he has ever owned or traded Gold either. People fail to understand that they are creditors of the bank and therefore subject to counter-party risk. As for the FDIC protecting all deposits, well that's just laughable (why the need to implement Global bank bail-in procedures).